Donald Trump to lay off thousands of IRS employees as Elon Musk’s DOGE begins auditing

As Elon Musk's Department of Government Efficiency (DOGE) begins its audit of “inefficient” workers in the federal government, President Donald Trump has ordered the firing of thousands of employees of the US Internal Revenue Service in the coming days, news agency Reuters reported, citing people familiar with the matter.

The move could squeeze resources at the tax-collecting agency during the critical tax-filing season.

Officials from the Office of Personnel Management, which oversees federal hiring, ordered all agencies on Thursday to dismiss their probationary employees and the newer workers do not enjoy full job protections.

According to the Reuters report, it is unclear how many thousands of IRS employees would be fired.

How many workers work for the IRS?

Under the administration of former President Joe Biden, the US IRS's workforce increased to about 1,00,000 people, including roughly 16,000 probationary workers. 

Biden sought to bolster the agency's operations, including its ability to audit corporations and wealthy taxpayers.

The IRS remains busy for months after the deadline, processing returns and delivering refunds to taxpayers.

Who will the IRS layoffs target?

The cuts will target all probationary employees who did not resign under a now-closed buyout program or who have not been identified as essential to get through tax season, which is in full swing ahead of the federal return filing deadline of April 15, a person familiar with the matter told Reuters.

Why are these job cuts being made?

The IRS layoffs, first reported by the New York Times, come as part of a broader effort by President Donald Trump and Elon Musk's overhaul of the federal government, which they argue is too bloated and inefficient, and ripe with waste and fraud.

The IRS did not immediately respond to a request for comment.

Another person familiar with the impending layoffs expressed concerns that the cuts would be made without consideration of how they might hinder the agency's operations.

“They are trying to reduce numbers across the board with no analysis to the impact it will have on operations,” the person told Reuters.